Mzanzi Amigos (Pty) Ltd T/A Barcelos
| Business Location: | Rural & Township |
| Province | Northern Cape |
| Branch: | Frances Baard |
| Business Start Date: | |
| Busniess Type: | Company |
Business Dynamics and Challenges
Business Activities:
The business model was strategically diversified to include:
• Motor spares retail and wholesale.
• Vehicle repair and maintenance services.
• Locksmith services.
Although Mr. Crisp is not a qualified motor mechanic, he oversees business operations and employs qualified personnel to manage technical and workshop functions.
Challenges/Needs:
Challenges
Shortly after the acquisition, Mr. Crisp discovered that a substantial portion of the stock
comprised slow-moving items. By 2024, the business was no longer financially viable.
Creditors totalled R150,000.00 with repayment arrangements of R3,000.00 per month and
he negotiated to settle these obligations. Together, these challenges highlighted the need
for structured business development support, continued training, local market access
opportunities, financial interventions and productivity improvement to enable the business
to grow into a competitive and compliant enterprise.
Further challenges included:
• Additional capital required to procure fast-moving stock.
• Internal theft estimated at R100,000.00 which worsened liquidity pressures.
• Monthly overheads averaging R40,000.00 which became unsustainable.
Intervention Insights and Results
Intervention Details:
The Business Advisor recommended the client to participate in the Improve Your Business
ILO training. The five-day workshop offered a practical, hands-on learning experience,
focusing on financial literacy, business planning, and affordable system creation for small
and micro businesses. The client was guided on how to evaluate his entrepreneurial
commitments, refine existing business systems, and develop actionable plans for
improvement. Digital tools, business analysis, and collaborative group work were
incorporated to cultivate engagement and relevance.
To overcome financial constraints, facilitation of access to funding was carried out through
the Asset Assist Programme implemented by SEDFA. This support enabled the enterprise
to acquire the necessary equipment, secure raw materials, and cover operational expenses,
thereby unlocking production capacity and business growth opportunities.
ILO training. The five-day workshop offered a practical, hands-on learning experience,
focusing on financial literacy, business planning, and affordable system creation for small
and micro businesses. The client was guided on how to evaluate his entrepreneurial
commitments, refine existing business systems, and develop actionable plans for
improvement. Digital tools, business analysis, and collaborative group work were
incorporated to cultivate engagement and relevance.
To overcome financial constraints, facilitation of access to funding was carried out through
the Asset Assist Programme implemented by SEDFA. This support enabled the enterprise
to acquire the necessary equipment, secure raw materials, and cover operational expenses,
thereby unlocking production capacity and business growth opportunities.
Outcome Details:
As a result of the funding and post investment intervention, Novaelex (Pty) Ltd t/a
Quattro Motor Spares has grown in leaps and bounds. The business experienced
growth in terms of turnover and sustained employment. The turnover increased by 55%,
recording an increase from R 2 538 597.00 to R 3 941 980.00. Additionally, the employment
was sustained with six (6) employees.
Quattro Motor Spares has grown in leaps and bounds. The business experienced
growth in terms of turnover and sustained employment. The turnover increased by 55%,
recording an increase from R 2 538 597.00 to R 3 941 980.00. Additionally, the employment
was sustained with six (6) employees.
Client Feedback
Client Comments:
“Through the help of SEDFA, we have been able to turnaround the business. We appreciate
the role that SEDFA has played and look forward to achieving much more through SEDFA’s
continued assistance”
the role that SEDFA has played and look forward to achieving much more through SEDFA’s
continued assistance”
